Insider Tips - Weekly Stock Market Report - Week December 8, 2025
Market Pulse December 8, 2025
In this week’s Insider Tips, I walk through a strong green market, which gives us the tailwind we love when selling covered calls. With all four lights in my market-timing system flashing green, the probabilities are finally lining up again. I added a few positions—NVIDIA, Microsoft (with a strategic put spread), and Applovin—because a green market means the environment is fertile for buying. Most major indexes are back above key moving averages, volatility is cooling, and capital is flowing back into risk assets. From broad market strength to individual stock setups—breakouts, consolidations, hammer candles, and warning signs—I break down what’s working, what’s weak, and where the best probabilities lie this week.
Market Conditions & Trend Overview
We officially remain in a green market, with four green lights on my timing system, signaling higher probability conditions for putting money to work. Green doesn’t guarantee anything—but just like in Vegas when the count is in your favor, that’s the time to push more chips in.
Major Indexes
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NASDAQ: Recovering from a recent pullback and back above the 8-, 21-, 50-, and 200-day moving averages. Still the softest index, but improving.
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S&P 500 and Dow: Both hovering near previous highs and climbing steadily. Strong reversal off support levels.
NYSE: The broadest index just made a new all-time high, reinforcing underlying economic confidence despite noisy headlines.
The takeaway: Risk appetite is back, breadth is improving, and volatility is declining.
Macro Backdrop
The Fed continues dancing around liquidity—tightening, printing, slowing, then printing again—but the direction is clear:
The system requires more liquidity to fund high interest costs, and that means the long-term path of the dollar is lower. Your house doesn’t become “worth more”—your dollars buy less. That inflation reality quietly supports asset prices.
Meanwhile, layoffs are being offset by historic productivity from AI. Market sentiment reflects optimism, not fear.
Volatility & Breadth
The VIX has collapsed into the mid-15s, showing panic draining out of the market as money comes off the sidelines and moves into equities. This aligns perfectly with our green timing signal.
INDIVIDUAL STOCK ANALYSIS
Apple (AAPL)
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Broke out around $259–260, ran to $288, now pulling back in a textbook pattern.
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Still a strong “boring” covered-call stock—exactly what we like.
Applovin (APP)
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Recent breakout above $675, forming a double-bottom pattern.
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A bit volatile but structurally bullish. I initiated a position.
Tesla (TSLA)
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Working up the right side of a consolidation between $382–474.
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No real catalysts right now; expect back-and-forth battle between bulls and bears.
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Long-term great company, but near-term unclear.
Palantir (PLTR)
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Classic late-stage base, showing high probability of failure.
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Multiple failed breakouts, now under the 50-day and struggling.
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Not a buy for me—probabilities don’t line up.
NVIDIA (NVDA)
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Several failed breakout attempts at $184.50, now climbing back.
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Still under the 50-day MA, which is not ideal, but improving in a green market.
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I’m giving it some breathing room.
Strategic (STRAT)
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Massive drop from $457 → $159, but forming a powerful weekly hammer candle with 110% volume, often a reversal signal.
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Highly Bitcoin-sensitive, but potentially bottoming.
Hims & Hers (HIMS)
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Weak chart heading into a death cross (50-day breaking below 200-day).
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Down almost 50% from highs with low-volume bounces.
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Not a buy here; needs time.
Microsoft (MSFT)
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Bounced off the 200-day, filled a gap, but still below the 50-day.
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I own a small position but may exit if it can’t reclaim moving averages.
SoFi (SOFI)
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Gapped down on volume—never a good sign.
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Momentum weak across the fintech group.
Robinhood (HOOD)
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Attempting a double bottom; needs to clear $150 for a breakout.
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Early stages—lots of work to do.
IBM
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In a clear buy zone, within 5% of breakout level.
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Slow, steady, and finally in style again.
Intel (INTC)
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Massive improvement, reclaiming all major averages.
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Benefiting from government investment and sector strength.
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Strong momentum toward the mid-40s.
KEY TAKEAWAYS
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We are firmly in a green market — probability favors being long.
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Volatility is falling, risk appetite rising.
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Major indexes breaking out or nearing highs.
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Great setups: NVIDIA (recovery attempt), Applovin (breakout), IBM (buy zone), Intel (sector tailwind).
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Avoid for now: HIMS (death cross), Palantir (late-stage base failure), SoFi (gap down).
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Hammer candle in STRAT suggests possible reversal.
When the cards line up, we press the advantage. This week, the cards are aligned.
CONCLUSION
We’re in a green, fertile market, and that means it’s time to selectively put capital to work. Breadth is strong, panic is fading, and leadership is broadening. While not every stock is healthy, enough setups are emerging to justify taking positions where probabilities favor us—especially when selling options for income.
Bottom Line:
The green signal gives us permission. Manage risk, lean into strength, avoid weak charts, and keep squeezing the juice.
Current Market Condition:
This week we’re firmly in a green market, with all four lights in the market-timing system aligned and pointing to higher probabilities for upward momentum. A green signal doesn’t guarantee gains, but it tells us the environment is fertile—just like when the count is in your favor at the blackjack table, that’s when you press your advantage. Major indexes have climbed back above key moving averages, volatility has dropped into the mid-15s, and money is clearly flowing off the sidelines and back into stocks. That’s why I’ve been putting capital to work this week. A green market provides the tailwind we want, especially for covered-call strategies, where rising markets increase our probability of hitting max profit.
Stock Tips This Week:
In this new video, I walk through the core patterns, signals, and probabilities I use to spot bases, identify breakouts, gauge trend health, and read volume like a pro. If you want more consistency and confidence in your trading, it starts with mastering the charts.
Click the link to watch how I break it all down—step-by-step.
Want to understand covered calls in under 3 minutes?
In this quick breakdown, I show you exactly how covered calls create income, how strike prices work, and why so many smart investors use this strategy for steady, predictable cash flow. It’s the fastest way to grasp the core mechanics of option selling—and how premium can work for you week after week.
Watch the 150-second breakdown here.
NVIDIA is setting up for a potential move — and in this week’s video, I break down the chart step-by-step.
I walk through the base structure, moving averages, volume clues, and key breakout level to watch. Then, using our animated friend Juicy Joe, I show a purely hypothetical covered call example to illustrate how traders evaluate risk, cushion, and “what if” scenarios. Check it out here.
What do you do when a stock drops after selling a covered call?
In this quick video, I break down when and why you might roll down your covered call — and how this simple adjustment can help you collect more premium, lower your breakeven, and keep your cash flow intact. It’s a clean, educational walkthrough of one of the most useful tools in covered call management.
If you want to understand how income traders play both defense and offense, this is a must-watch.
